NEXUS BETWEEN ENTREPRENEURIAL CHARACTERISTICS AND PERFORMANCE OF SMALL AND MEDIUM ENTERPRISES (SMES) IN KOGI STATE

Abstract

The study was an empirical enquiry into the effect of entrepreneurial characteristics on the performance of Small and Medium Enterprises (SMEs) in Kogi state. In meeting research objectives, a causal design was adopted for the purpose of exploring the specific direct effects of Innovativeness, and Passion and as components of Entrepreneurial Behaviour, on Performance. Data used was self-reported survey data collected via the administration of a structured questionnaire to a purposive sample of 393 owner-managers in the state. The collected data was applied towards the estimation of a path model through the Partial Least Squares (PLS) approach to Structural Equation Modelling (SEM). It was found that all components of entreprenural behaviour were positive and statistically significant predictors of performance among the businesses in the state. Accordingly, it was recommended that business owner-managers strive towards fostering innovative culture within their businesses. Secondly, an investment in personal development to sustain and enhance their drive for success is also crucial; by aligning personal motivations with business objectives, owner-managers can effectively inspire and lead their teams towards achieving superior performance.